Bookkeeping For Small Business Habits

4 Bookkeeping For Small Business Habits You Should Adopt For Success

Bookkeeping For Small Business – Every entrepreneur should adopt a set of habits that can help him or her not only make their business more profitable, but also easier to manage. Every day is an opportunity to build up that arsenal of tips to make your small business run smoother and more successfully. To help get you started, Your Bookkeeping Department is here to help with a few tips we’ve amassed through the years of running our own company as well as helping others profit from theirs.

Outsource your bookkeeping for small business services, but stay involved.

To keep cash flow going and track your expenses correctly, you’ll need to hire a professional bookkeeper. However the tip here, is to not be completely hands-off. Sure, you want to outsource some of the bookkeeping responsibilities, after all you’re no bookkeeper, you’re a small business owner with your own talents. But, remain involved.

Check your reports and understand the data, because it can actually help you operate your business in a better way. There are lessons to be learned from all these bookkeeping reports, that can help you see where you’re wasting money and where you perhaps need to invest more. Reports can also help you uncover some interesting facts, such as how much on average are customers spending on your product or service for example. In the end, when you’re not hands-off you can really monitor the health of your small business.

Keep track of all expense with receipts and statements from various sources

If you don’t track what you’re spending, how can you know for sure what you ARE spending. You may think credit card statements are enough, but surely there are things you purchase for your small business that you pay cash or through other means such as direct wires, PayPal accounts, debit cards and checks. It’s important you keep every receipt from the cab you paid to get to the airport for business travel to the cash you used for last minute office supplies or even a team lunch.

Keeping all of your receipts will ensure you know exactly what you’re spending on a monthly basis, helping you to assess profits at the end of the year. Especially in the first few years, where typically profits are so much smaller and every expense can count against your net income.

When it comes to invoicing, keep track of the status when bookkeeping for small business

Receivables are the other side of that same coin (mentioned above). Keeping track of what’s coming in is as important as what’s coming out when it comes to bookkeeping for small business. Invoicing your clients correctly is just one part of the receivables department, making sure they’re paid is another.[hr]

Your Bookkeeping Department advises you to not only set up a scheduled time for invoicing every week, but also track the status of each invoice. Besides paid or unpaid, your invoices may be only partially paid, or maybe client is pushing back because the invoice represents unexpected terms. It’s important to know where your funds are, because this greatly affects cash flow, which in turn affects how much is invested back into your small business.

Leave tax returns to the professionals

As a small business entrepreneur, you may be able to do track a few numbers here and there, but when tax season comes around, make sure you’re dealing with professionals. Accountants and expert bookkeepers like Manal Oliver from Your Bookkeeping Department have various certifications that can help make tax season a breeze. For example, Manal is an accountant with over three decades of experience and is active in various communities such as the National Association of Tax Professionals.

She works with many lawyers and healthcare professionals, representing successful law firms as well as dental practices. Working in Miami Beach, a community that’s influential in the LGBT communities, Manal is also a member of the Miami Dade Gay and Lesbian Chamber of Commerce. Since 1996, Manal has assisted countless business owners to leverage their numbers for more efficiency in their operations.

If you need help with bookkeeping for small business services, don’t hesitate to call Manal Oliver at Your Bookeeping Department at 305.868.7620